Major market indexes generally do a good job of tracking “the market” but they don’t always tell the whole story.
For example, if you only keep track of the S&P 500, you’re probably oblivious to the increasing number of U.S. listed stocks that have declined 50% or more from their 52-week highs. As the chart below shows, that number currently exceeds 2,000.
The last time we saw numbers anywhere close to that was March 2020 and, prior to that, the 2008 financial crisis (there’s no guarantee it reaches those heights). The point stands that a portion of the market has been hit hard over the past year. Continue Reading…